by J. Orlin Grabbe

In February 1995, having heard some of the malicious
rumors regarding Systematics (ALLTEL Information Services),
I posted on the Internet a bibliography of news articles
regarding Systematics, so that researchers could see for
themselves that Systematics was just another hard-working
software company that provided banking software.

In that post I mentioned some of the rumors and
stated:

"Of course these allegations are FALSE. However, for
those who may [be] interested in doing their own private
research on SYSTEMATICS, and verifying for themselves
the utter FALSEHOOD of these malicious lies, I have
compiled a brief bibliography on the company."

But now the heavy-handed tactics of ALLTEL Information
Services (formerly Systematics) have made me reconsider.
Could it be that at least some of the rumors are true?

Why did ALLTEL Information Services, based in Little
Rock, Arkansas, hire a lawyer way over in San Francisco
to threaten journalists who chose to investigate these
rumors? Charles O. Morgan claims that "Banking and
financial institutions are clients of ALLTEL. The
irresponsible and false statements . . . have and will
cause my client substantial damage."

Well, I assert that I know much more about the banking
environment than does Charles O. Morgan. And I assert
that what Charles O. Morgan claims is nonsense.

The banking environment is a communication-based environment,
where rumors about companies spread quickly and die
quickly. Banking people are up to their necks in rumors.
Given the environment, they have to take rumors with a grain
of salt until they have hopped on the phone and spoken with
six colleagues who can help them evaluate the purported facts.

ALLTEL Information Services has nothing to fear from a
bunch of pissant rumors that are false. But if ALLTEL
Information Services has nothing to fear, then WHY HAVE
THEY REPORTEDLY HIRED A NEW YORK-BASED PRIVATE INVESTIGATIVE
FIRM CALLED PROUST AND KILLMAN TO MONITOR THEIR CRITICS?

If ALLTEL Information Services were to choose to engage in
cheap thuggery, then SUCH ACTIONS MIGHT CALL FORTH AN ARCHIVE
OF DOCUMENTS THAT COULD BURY ALLTELL INFORMATION SERVICES
IN DEEP SHIT WELL INTO THE 21ST CENTURY.

Of course, such an archive probably doesn't exist. But ALLTEL
Information Services can't be too sure of this.

As for myself, I personally could care less what it is that
ALLTEL Information Services didn't do. I just want them to
stop not doing it.

The Systematics bibliography is repeated below. But so
that researchers don't waste their time, I want to
relay some helpful information provided by John Steuri.
John Steuri is CEO of ALLTEL Information Services (formerly
Systematics), and--unlike Charles O. Morgan way over in San
Francisco--is right there in Little Rock, where he can keep
an eye on what's going on. In his memo to Jim Norman, dated
March 16, 1995, titled "Systematics", Mr. Steuri makes the
following statements:

"1. Hillary Clinton was never on ALLTEL's or Systematics
Boards of Directors.

"2. Beryl Anthony was never on ALLTEL's or Systematics'
Boards of Directors. Further, if Mr. Anthony was somehow
related by marriage or otherwise to Mr. Vincent Foster,
I was not aware of it. As I told you, I never met Mr.
Foster. I was introduced to Mr. Anthony once on a trip
to Washington, D.C. to meet with federal bank regulatory
agencies.

"3. Until your inquiry and meeting with Joe Ford and me on
March 1, 1995, we had never heard of Boston Systematics
and/or Systematics Ltd. and Systematics Technology in
Israel. We found them in public Dun and Bradstreet data-bases
after you contacted us. We don't know who they are
or what they do or who they may associate with, and we don't
know their principals who are listed in D&B or others whose
names you've provided me. Simply put, we have no present or
past relationship with or any knowledge of these organizations.

"4. We have no present or prior relationship whatsoever
with any company called E-Systems.

"5. We do not do any 'private bank-to-bank transfers' of
funds or operate or provide any software for wire transfers.
Our clients do transfer normal debit/credit transactions via
the Fed ACH system or via the other networks like SWIFT,
etc., which I listed some of in my fax to you of March 8,
1995.

"6. If Webster Hubbell has called Systematics at least
'twice' since being in Washington to obtain 'data on
foreign companies', I am unaware of any such inquiries,
and I have not learned of anyone here who is aware of or
took any such calls.

"7. If Vincent Foster had 'several Systematics documents in
his files', we are totally unaware of any such documents.
Very likely, if they in fact exist, they may somehow be
related to one of the more than fifty (50) other companies
who use the name 'Systematics' who have absolutely no
relationship whatsoever to our Company. I provided you with
a list of these companies we found in public databases since
you contacted us on March 1, 1995.

"8. I don't know anything about companies named Atlantic
Research or Mitek?(sp). We know of Computer Sciences as
we have on occasion competed with them for bank outsourcing projects.

"9. If Systematics is or was in line for any big (or
small) healthcare contracts with the U.S. government as
part of healthcare reform, we are totally unaware of it.
We were never asked to participate in or provide input
to any of the Clinton Administration's healthcare task
forces, study groups, hearings, etc. Your comments and
questions on that front come as a total surprise to us.

"10. We do not request or use the U.S. government or any
officials of same to solicit or assist us in obtaining
favorable consideration of any domestic or foreign contracts
for our banking software (or bank processing services in
the U.S.). If we are required by law to obtain approvals
or export licenses to do business in certain countries, we
will, of course, seek to obtain same from the appropriate
federal agency.

"11. There is absolutely no correlation or connection
whatsoever between any domestic or foreign business or
contracts we've signed and the election of the current
Administration in Washington or any prior Administrations."

Thanks, Mr. Steuri, for the helpful information.

I am a little confused about point #3, however. Is this
the same Boston Systematics which Jim Norman, Senior Editor
at Forbes, alleges is "headed by former CIA officer Harry
C. Wechsler, which controls two Israeli companies that also
use the name Systematics" and from which "Inslaw claims it
got two inquiries in 1987 from Wechsler's Israeli company
seeking marketing data on PROMIS"?

Is this the same Harry Wechsler, whose daughter is also a
Senior Editor at Forbes?

Well, this is all too confusing for me. I think I'll
take a break. I think I'll take my Mellon Bank credit
card and treat myself to a nice dinner.

An emerging giant; $1.6-billion Alltel and
Systematics are positioned for corporate greatness:
can they pull it off? (merger of Alltel Corp. and
Systematics Inc.)(includes history of Systematics
Inc.) (Cover Story) by Rex Nelson il v8 Arkansas
Business April 8 '91 p18(4)

Sytematics to use deposited-check imaging; installation
at firm's N.J. center would be the first by an outsourcer.
(Systematics Financial Servicess Inc., Unisys Corp.) by
Barton Crockett v158 American Banker May 19 '93
p3(1)

Systematics Information Services Inc. (One of 100
company profiles of North American companies in the
Datamation 100 special issue) (Company Profile) by
Elizabeth Lindholm il v39 Datamation June 15 '93
p100(1)

Republic signs up with Systematics for check
processing. (Republic National Bank of New York;
Systematics Information Services)
(Technology/Operations News) by Jeanne Iida v158
American Banker August 6 '93 p16(1)